Industrial Goods/Services
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Updated on 12 Nov 2025, 01:40 pm
Reviewed By
Akshat Lakshkar | Whalesbook News Team
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KNR Constructions Ltd has announced a sharp 76.3% year-on-year (YoY) fall in its consolidated net profit for the second quarter ended September 30, 2025, reaching ₹104.65 crore, a significant decrease from ₹441.47 crore in the same period last year. Revenue from operations saw a considerable drop of 66.8% YoY, declining to ₹646.5 crore from ₹1,944.8 crore. The company attributed this decline to reduced project execution and the non-recurrence of a one-time income from asset monetisation that had boosted the previous year's performance, creating a high base effect.
Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) also fell by 77.8% to ₹192.82 crore, with the EBITDA margin contracting to 29.83% from 44.73% YoY. The company's shares, which focus on road, irrigation, and infrastructure projects, ended 0.4% lower on Wednesday and have fallen over 48% year-to-date.
Impact: This news significantly impacts KNR Constructions Ltd's stock valuation and investor confidence. The substantial drop in profitability and revenue points to operational challenges and a weaker financial quarter. The stock's poor year-to-date performance indicates ongoing investor concern. Rating: 7/10.
Difficult Terms: Year-on-year (YoY): A comparison of financial data over two consecutive years, for the same period (e.g., Q2 2025 vs. Q2 2024). EBITDA: Earnings Before Interest, Tax, Depreciation, and Amortisation. A measure of a company's operating performance. EBITDA margin: EBITDA expressed as a percentage of revenue, showing profitability from operations. One-time gain/income: Profit from an unusual, non-recurring event, like selling an asset. Asset monetisation: The process of converting assets into cash, often through selling or leasing them.